Tech giant Oracle plans to open a new public cloud region in Malaysia, with an investment of over$6.5 billion. This expansion aims to support the country’s growing demand for artificial intelligence (AI) and cloud services, helping local businesses and government organizations accelerate digital transformation.
The upcoming Oracle Cloud Infrastructure (OCI) region will provide over 150 infrastructure and software-as-a-service (SaaS) offerings, designed to support Malaysia’s digital economy. These services include powerful AI tools, data analytics, and high-performance computing, enabling Malaysian organizations to modernize their applications and enhance their competitiveness globally.
Among the key offerings will be OCI Generative AI Agents, which use advanced AI techniques to improve data processing and decision-making, and the OCI Supercluster, a large AI supercomputer. This infrastructure will support AI-driven innovation, with up to 131,072 Nvidia Blackwell GPUs, designed for complex AI model training. The investment will also provide local access to secure, scalable cloud services such as Oracle Autonomous Database and Oracle Fusion Cloud Applications.
Malaysia’s Minister of Investment, Trade, and Industry, YB Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, welcomed Oracle’s investment. He highlighted the role this cloud region will play in driving Malaysia’s New Industrial Master Plan, which aims to create 3,000 smart factories by 2030.
Digital investments
“Oracle’s decision underscores Malaysia’s growing position as a premier destination for digital investments,” he said in a statement posted on Oracle’s website.
Oracle’s regional expansion will also help address the rising demand for AI services in Southeast Asia. As companies increasingly rely on cloud computing for AI development, the need for data centers capable of managing large datasets and running sophisticated AI models has grown. According to IDC FutureScape, Malaysia’s public cloud services market is projected to grow by 27.2% from 2022 to 2027, positioning the country as a key player in the region’s digital future.
“Malaysia offers unique growth opportunities for organizations looking to accelerate their expansion with the latest digital technologies,” said Garrett Ilg, executive vice president and general manager, Japan & Asia Pacific, Oracle.
The new Oracle cloud region will allow customers in Malaysia to store and process data locally, providing better control over data security and regulatory compliance. The cloud region will also offer sovereign AI capabilities, giving customers more control over where their data is located and how it is managed, while ensuring AI applications meet local governance requirements.
Oracle’s expansion in Malaysia will include Nvidia’s AI infrastructure services, such as Nvidia DGX Cloud and Nvidia Omniverse. The new cloud region will be Oracle’s 12th in the Asia Pacific.